AGL Energy H1 Profit Rises; Backs FY18 Profit Outlook

2/7/2018 7:59 PM ET

AGL Energy Limited (AGK.AX) reported that its Statutory Profit after tax for the six months ended 31 December 2017 was A$622 million, an increase of 91 percent on the prior corresponding period. The increase reflected continued underlying earnings growth and a positive movement in the fair value of financial instruments used for hedging activities of A$127 million.

Underlying Profit after tax, which excludes significant items and movements in the fair value of financial instruments, was A$493 million, up 27 percent. The increase reflected strong margin growth in Wholesale Markets, which more than offset a small decline in Customer Markets margin and planned increases in operating expenditure to support consumer market activity, growth and transformation activities.

AGL has declared an interim dividend of 54 cents per share, 80 percent franked, an increase of 32 percent or 13 cents per share on the previous interim dividend.

AGL continues to expect Underlying Profit after tax in the financial year ending 30 June 2018 within the previously stated range of A$940 million to A$1.04 billion. AGL's current expectations are consistent with the middle of this range.

Dish Network Corp. on Wednesday reported a surge in profit for the fourth quarter from last year, reflecting an income tax benefit that helped offset the impact of lower revenues. The latest quarter's results were positively impacted by an income tax benefit of about $1.2 billion due to an adjustment to deferred tax assets and liabilities related to tax reform legislation.

Shares of Glencore plc were gaining around 4 percent in the morning trading in London after the producer and marketer of commodities reported Wednesday a significant growth in fiscal 2017 profit on strong higher commodity prices. Chief Executive Officer Ivan Glasenberg said, "Our performance in 2017 was our strongest on record, driven by our leading Marketing and Industrial asset businesses."

Shares of Orange SA were gaining around 2 percent in the early morning trading in Paris after the French telecom major reported Wednesday a significant growth in fiscal 2017 profit from continuing operations with revenue growth in most regions, mainly France and Spain. In France, revenue grew for the first time since 2009. Attributable net income, meanwhile, declined on the absence of prior